An unsettled market saw rental falls in Kowloon and the New Territories as families departed with slight increases on Hong Kong Island helped by financial services activity.
- The luxury leasing market presented a mixed picture during the third quarter, with rents on Hong Kong Island recording a rise of 1.0%, while Kowloon and the New Territories decline slightly by 0.1% and 0.8% respectively.
- All districts on Hong Kong Island recorded moderate rental increments in Q3/2021, with Southside (1.4%) registering the largest rise, followed by Happy Valley/Jardine’s Lookout (1.2%) and Pokfulam (0.9%).
- The luxury apartment market on Hong Kong Island is facing very limited availability especially in the townhouse segment.
- All submarkets in Kowloon and the New Territories recorded slight rental declines except Ho Man Tin/ Kowloon Tong (+0.8%) and Sha Tin/Tai Po (+0.2%).
- In Kowloon and the New Territories, luxury leasing markets have remained weak with fewer expat family arrivals and therefore lower demand for areas close to international schools.
- The availability of townhouses in the Peak and Southside districts is still limited, particularly older townhouses.